Last year, 47% of consumers were more likely to buy from a brand with a local presence. That shows that even though online shopping is becoming more prevalent, retail brands with a broad network of local stores still have the upper hand with a significant percentage of the consumer market.
However, to survive in the shifting world of retail sales, you need to be willing to implement forward-thinking strategies that will set you apart from the competition and keep customers coming back to buy more.
To help you set your retail store up for maximizing profits in the near future, let’s explore a few effective strategies you should strongly consider in 2022.
Optimize Your Value Chain
A value chain is a crucial process for identifying weak areas of your operations and finding the best ways to solve the problems, maximizing productivity and profitability in the process. The different stages of the retail value chain play a vital role in your profit potential, so understanding how they interact and what you might do better is one of the fastest ways to boost your revenue potential.
The value chain encompasses the primary activities that relate to your product’s physical creation, maintenance, sales, and support, which include all logistics, operations, sales and marketing, customer service, and more. For instance, you can run a marketing campaign for Halloween before a few weeks.
In addition, there are also support activities that facilitate the primary activities, which include procurement of materials and resources, technological development, HR management, and the overall company infrastructure that allows your retail store to function.
Unlike a supply chain, taking a value chain view when evaluating how your retail store operates will allow you to identify ways to maximize value at every step of your operations, from the conception and creation of products to ensuring each customer has a positive experience.
Display Inventory on Google Search and Maps
81% of retail shoppers perform research online before buying from retail stores. And that means even if you focus your business model on retail sales, you must still have a strong online presence to reach your target audience and be visible enough to drive sales.
Luckily, there are relatively simple ways to significantly enhance how much people can learn about your store on the web, which will generate immediate interest and even get people to come into your store knowing what they want to purchase.
One of these methods is to set up your in-store products to be visible on Google Search and Maps. Using a tool like Pointy or Vend, you can get your inventory to display as part of your business profile on Google Search and Maps, allowing people to discover not just what types of products you have available but whether they’re in stock in that particular store and even their current price.
This is not only incredibly engaging and can give you a considerable advantage over the competition but also opens up opportunities to generate interest, promote different types of new products you want to boost sales for, and associate your brand with your selection of items on sale.
Start a Loyalty Program
Many retail stores are hesitant about developing loyalty programs because they can be complex to keep track of, cut into the profits, and require effort to inform customers about. But just because loyalty programs can be a hassle to put together doesn’t mean you can’t simplify things according to your needs while still enjoying the benefits that the program can offer.
For instance, you can launch a simple program that utilizes loyalty cards, which automatically accrue points with each purchase. Then, customers can be prompted to use their accumulated points to receive discounts, special deals, and more.
Diversify Your Social Media Presence
Having a social media presence is one of the best ways to expand your reach and get in front of prospective customers who may not be aware of your store at all. What’s more, when you have a presence on multiple social media platforms, you can develop a stronger brand voice and form a stronger bond with your audience through relevant content, personal interactions, and special promotions for your followers.
Social media platforms such as Instagram and TikTok are also great for showcasing your products, generating interest in your collections, and boosting sales.
Despite the growth of online sales, retail stores still hold an essential role for today’s shoppers and will continue to do so in the future.
But to stay ahead of the competition and drive profits, retail companies must be willing to utilize digital ways to promote themselves, as well as optimize their processes to enhance the customer experience and reduce inefficiencies.